Induction of Banks for conduct of
State Government Business – Handling of Tax Business –Collection and Refund of Commercial Taxes
through State Bank of India, State Bank of Hyderabad, Andhra Bank, UTI Bank
Limited and ICICI Bank Limited in relaxation of S.R.27 under T.R.16 of A.P.
Treasury Code, Volume-I – Further orders – Issued.

In the
references 1st and 3rd read above, orders have been
issued entrusting the work of collection of commercial taxes in twin cities of
Hyderabad and Secunderabad, Guntur, Kakinada and Rajahmundry to UTI Bank Limited.In the reference 2nd read above,
the ICICI Bank Limited has been entrusted with the work of collection of
commercial taxes in Vijayawada and Visakhapatnam.

2.In the reference 4th read above, orders have been
issued entrusting the work of collection of commercial taxes and refunds to UTI
Bank Limited for a period 3 months in relaxation of S.R.27 under T.R.16 of A.P.
Treasury Code, Volume-I.

3.In the reference 5th read above, orders have been
issued entrusting the work of collection of commercial taxes and refunds to UTI
Bank Limited for a period of six months in relaxation of S.R.27 under T.R.16 of
A.P. Treasury Code, Volume-I.

4.Orders have been issued vide reference 7th read
above, entrusting the work of collection of commercial taxes and refunds
including international exports as well as specialized agencies such as UNO,
ICRISAT, etc to UTI Bank Limited for a further period six months till
31-3-2006.

5.In the reference 8th read above, orders have been
issued entrusting the work of collection of commercial taxes and refunds to
State Bank of India, State Bank of Hyderabad, UTI Bank Limited, and ICICI Bank
Limited for a period of six months i.e., till 30-09-2006.

6.In the reference 9th read above, orders have been
issued entrusting the work of collection of commercial taxes and refunds to
Andhra Bank at 84 branches from 1-6-2006.

7. In the reference 10th read above, orders have
been issued entrusting the work of Collections and Refunds of commercial taxes
to State Bank of India, State Bank of Hyderabad through out the State and
throughout the year and to Andhra Bank at 84 places throughout the year and to
UTI Bank Limited in twin cities of Hyderabad and Secunderabad, Guntur, Kakinada
and Rajahmundry and ICICI Bank Limited at Vijayawada and Visakhapatnam upto
31.03.2007.

8.In the reference 11th read above the RBI Central
Office Mumbai has been addressed to advise in the matter of entrustment of the
work of Collection and Refund of Commercial Taxes to UTI Bank Limited and ICICI
Bank Ltd. for a further period of 6 months upto 30.09.2007.

9.In the reference 12th read above the RBI Central
Office, Mumbai has conveyed it’s no objection continue in the existing
Government Business i.e. Collection and Refund of Commercial Taxes through UTI
Bank Ltd. and ICICI Bank Ltd.

10.Government after careful consideration of the matter,
hereby entrust the work of collection of commercial taxes and refunds to State
Bank of India, State Bank of Hyderabad through out the State and throughout the
year and to Andhra Bank at 84 places throughout the year and to UTI Bank
Limited at twin cities of Hyderabad and Secunderabad, Guntur, Kakinada and
Rajahmundry and ICICI Bank Limited at Vijayawada and Visakhapatnam for a
further period of six months i.e., up to 30-09-2007 with the following
conditions.

i)The Revenue
Department and the Commissioner of Commercial Taxes shall establish
connectivity between Commercial Tax Department, State Bank of India, State Bank
of Hyderabad and Andhra Bank enabling efficient collection of taxes.

ii)Keeping in view
of importance of collection of revenue it is imperative that the funds are
collected efficiently and passed on to the Government in the minimum possible
time.To monitor this aspect the bank
collecting commercial taxes on behalf of the Government shall submit a report
(as per proforma-I in annexure to G.O. referred to in 5th cited) on
weekly basis, to Finance (W&M) Department containing the information
regarding daily collection of tax, the date of remittance of tax proceeds to
the Government account and reasons for any delay of credit to the Government
account and refund of tax.Further,
details of the cheques above Rs.1.00 lakh remitted by dealers as commercial tax
such as the date of presentation of the cheque by the dealer to the bank, date
on which the proceeds of the said cheque are remitted to the Government account
and reasons for any delay should be reported on a weekly basis (as per
proforma-II to the G.O. 5th cited) to Finance (W&M)
Department.

iii)The banks shall
submit the data in the electronic form by adopting the software already
designed by the Government.

iv)For all other
refunds including those under APGST Act. And other refunds of VAT Dealers, the
procedure already prevailing shall be continued as ordered, in the reference 4th
read above.

11.The Commissioner of
Commercial Taxes, Andhra Pradesh, Hyderabad is requested to monitor the
transactions of the above banks and ensure that the amount collected are
credited without any delay and refunds made are genuine and authorized.

12.The banks are liable for
any unauthorized refunds made by them as determined by the Commissioner of
Commercial Taxes, Andhra Pradesh, Hyderabad.